What taxes should I pay?

General information about taxes in Estonia

Updated for AccRes. This AccRes guide to “What taxes should I pay?” has been refreshed for the new knowledge base: the practical workflow is kept intact, with added context for AccRes clients and a reminder to check the service interface against the screenshots before following the steps.

Until you distribute the profits, there is no tax.

If you decide to pay yourself a salary, 22% income tax is withheld from the salary and the employer pays 33% social tax. Unemployment insurance contributions and, where applicable, funded pension contributions also apply.

If you want to pay dividends, from 2025 the standard tax rate on dividends is 22/78 of the net payment.

If your company's taxable turnover in Estonia exceeds €40,000 from the beginning of a calendar year, you must obtain an Estonian VAT number. As of 8 July 2026, the standard VAT rate in Estonia is 24%, although 13%, 9% or 0% may apply depending on the goods, services and customer.